... Research finds people want information on cost and quality/...PORTLAND Ore. Nov. 28 /- The number of people inclined...Seven out of 10 consumers indicated they would seek out informationsu... This data fills a gap in our knowledge about consumers and opens aw...

PORTLAND, Ore., Nov. 28 /PRNewswire/ -- The number of people inclined
to comparison shop for medical services such as knee surgery could be much
higher than previously thought, according to groundbreaking research
conducted by Regence.

Seven out of 10 consumers indicated they would seek out information
such as price and quality for medical services, according to a recent
survey of 2,000 people in the states Regence serves: Washington, Oregon,
Idaho and Utah.

"This data fills a gap in our knowledge about consumers, and opens a
window on how people would shop for health care," said Robert Harris, who
oversees Regence market research.

Regence developed the parameters for the research, and respondents,
both insured and uninsured, were chosen by an independent firm for their
Internet shopping habits. Participants were asked to select one of 25
health care services they might need in the next five years and polled
about their information-seeking behavior. The 25 non-urgent services were
the types that would allow time for research, such as childbirth or
diagnostic testing. Both covered and non-covered services (such as
teeth-whitening) were included.

Of those who thought they would seek out information, 78 percent
indicated a preference for quality, while 74 percent indicated a preference
for cost. Taken as a whole, almost 50 percent of all 2,000 respondents said
they would be "very likely" to compare provider quality, seek out
information from reputable medical sources and to rely on the reputation of
the service provider.

These results indicate substantially higher interest in cost and
quality information than other research into consumer behavior, Harris
said.

Further findings indicated:

-- People with health insurance were more likely to research quality than

cost.

-- People without health insurance -- 8 in 10 -- were more likely to

research cost than quality; this is significantly higher than insured

respondents.

-- The breakpoint for health care comparison shopping is higher than for

consumer goods. The median price at which people shop for health care

is $500, but only $199 for durable consumer goods.

Additionally, about one-third of all respondents said they would be
"very likely" to compare prices of medical services. Further analysis and
research is needed, Harris said, but initial indications are that a
substantial portion of people could be shifted toward more consumer-minded
health care behavior.

Quality and effectiveness of medical care are of increasing concern to
patients. Some experts estimate that erroneous or unwarranted medical
intervention is the third leading cause of death in the U.S., taking
anywhere from 105,000 to 275,000 lives a year.

A dose of consumerism is promoted by many as an ingredient to remedy
the ailing health care system. If people could compare which treatments
work better and what they cost, the theory goes, providers would feel
pressure to compete on successful outcomes, prices and their own formula
for customer service. Currently, regional and national efforts to corral
quality and cost information are scarce and scattered.

"It's the Wild West out there for quality information, but hopefully
this new insight that we have gained into consumer preferences will help us
to move the dial in the right direction," Harris said.

About Regence

Regence the largest health insurer in the Northwest/Intermountain
Region, serving nearly three million members as Regence BlueShield of
Idaho, Regence BlueCross BlueShield of Oregon, Regence BlueCross BlueShield
of Utah and Regence BlueShield (in Washington). Each plan is a
not-for-profit independent licensee of the Blue Cross and Blue Shield
Association. Regence is committed to improving the health of our members
and our communities, and to transforming our health care system. For more
information, please visit http://www.regence.com.

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